Santiago accounts for half of Chile´s tourism

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Chile´s capital city is an important hub for domestic and international flights

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Santiago accounts of half of Chile´s Travel & Tourism activity (48.9%), a total US$3.9bn, as Chile´s capital city is an important hub for domestic and international flights, revealed a new report by the World Travel & Tourism Council (WTTC), Latin America City Travel & Tourism Impact.

Latin America City Travel & Tourism Impact is one of a series of reports by WTTC which looks at the contribution of Travel & Tourism to city economies and job creation. The study covers 65 cities, six of which are in Latin America.

Although the sector´s importance to Santiago´s economy has strengthened since 2006, its share of overall city GDP is relatively low compared to other cities in the study, at 3.2%, as the city relies heavily on other industries such as clothing production and copper mining.

Travel & Tourism GDP in Santiago has seen 7.5% growth over the past decade and the trend is set to continue with a further doubling of revenue over the next ten years and a growth rate of 7.1%, mirroring that in the country at large. The sector will benefit more from additional connectivity once the city opens a new international airport terminal in 2020. Over 110,000 jobs in the capital, 3.3% of all employment in Santiago, are directly attributed to Travel & Tourism.

The international market is now playing a bigger role in Santiago´s tourism; its share of spending rose from 21% in 2006 to 24% in 2016. Nearly a third of the international demand comes from the United States. In contrast, US visitors comprise only 5% of all international spend throughout Chile, suggesting that many Americans do not venture beyond the capital.

Looking beyond the capital, the total contribution of Chile´s Travel & Tourism to GDP was CLP16,852.1bn (US$24.9bn), 10.1% of GDP in 2016. The total contribution of Travel & Tourism to employment, including jobs indirectly supported by the industry was 9.8% of total employment (793,500 jobs). Over the next ten years, 160,500 new jobs are expected to be created through Travel & Tourism activity across the country.

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